You are negotiating a contract with the WeScamU Company and you are concerned that they will overcharge you for their costs, so you have included a PTA (point of total Assumption) clause in the contract. From the information provided below, what is the PTA? Target cost = $494,000.00 Target Price = $535,000.00 Ceiling prices = $629,000.00 Buyer/Seller ratio is 80/20 for overruns. Note: enter dollar amount only and two decimal places. For example, 450000.50
You are negotiating a contract with the WeScamU Company and you are concerned that they will overcharge you for their costs, so you have included a PTA (point of total Assumption) clause in the contract. From the information provided below, what is the PTA? Target cost = $494,000.00 Target Price = $535,000.00 Ceiling prices = $629,000.00 Buyer/Seller ratio is 80/20 for overruns. Note: enter dollar amount only and two decimal places. For example, 450000.50
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
![You are negotiating a contract with the WeScamU Company and you are concerned that
they will overcharge you for their costs, so you have included a PTA (point of total
Assumption) clause in the contract. From the information provided below, what is the PTA?
Target cost = $494,000.00
Target Price = $535,000.00
Ceiling prices = $629,000.00
Buyer/Seller ratio is 80/20 for overruns.
Note: enter dollar amount only and two decimal places. For example, 450000.50
Your Answer:
6:00 p.m. ✓](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F488e9cf2-caca-43e4-aa29-ddbb42640b9a%2F3c6d898c-6cb2-499e-9c35-5f439489f248%2Fne9pgf_processed.jpeg&w=3840&q=75)
Transcribed Image Text:You are negotiating a contract with the WeScamU Company and you are concerned that
they will overcharge you for their costs, so you have included a PTA (point of total
Assumption) clause in the contract. From the information provided below, what is the PTA?
Target cost = $494,000.00
Target Price = $535,000.00
Ceiling prices = $629,000.00
Buyer/Seller ratio is 80/20 for overruns.
Note: enter dollar amount only and two decimal places. For example, 450000.50
Your Answer:
6:00 p.m. ✓
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